Changes in FHA Mortgage Guidelines Make it Easier for Aspiring Home Owners to Qualify for Home Loans In Oklahoma
Hey there. Are you someone who has student loan debt and you are thinking about buying a house at some point? This video is definitely for you. My name is Ruthie Gallardo-Owens. I am the founder and CEO of the Oklahoma Real Estate Experts. And I am here to give you some great information that's going to help you make plans on how to purchase a house even if you have student loan debt.
HUD recently changed the guidelines on how they calculate your student loan debt when it comes to buying a house. In the past, they would have to calculate it as 1% of the total amount. So for example, if you owed $100,000 worth of student loan debt, that would mean that they would automatically calculate $1,000 a month as a payment. Even if you were on any particular repayment type programs, they wouldn't take that into consideration, they would just say, "Hey, it's 1%." That has changed as of this week. As of June 2021, that has changed.
What they are required to do now is that if you are on a specific payment which reduces your monthly payment, a specific payment plan that reduces your payment, as long as that is shown on your credit for a certain amount of time, they are able to just utilize that amount against your debt to income ratio. If you have nothing to show on your credit and it just goes to default, then the default is no longer 1%, it's 0.05%. So it's half. So again, in that same situation where you would have been held accountable for $1000 worth of debt, now you're only held accountable for $500 a month worth of debt. That makes a huge difference because $500 can often be half of a monthly payment of someone, and it can make the difference between someone qualifying to buy a home with an FHA loan or not qualifying at all.
If you have any real estate related questions, I am Ruthie the realtor, and I am here to answer them. Have a great one.
Interested in learning more about the upgrade can do so directly on the HUD website HUD.Gov at https://oklahomarealestateexperts.com/. Aspiring home owners can also watch this short video ????Buying a Home in Oklahoma Just Got Easier for Borrowers with Student Loan Debt to learn more about the latest version of FHA Loans for Oklahoma Home Buyer's With Student Loans.
